Frequently Asked Questions

 

   

R&D Employment

Industry resources allocated to research have been decreasing. PTAC is providing a mechanism for industry to leverage their limited resources.

What is PTAC –
Petroleum Technology Alliance Canada?

PTAC is a not-for-profit association that facilitates collaborative research and technology development to improve the financial, environmental and safety performance of the Canadian hydrocarbon energy industry.

What is PTAC’s purpose?

The purpose of PTAC is to provide a mechanism that facilitates collaboration on R&D to the benefit of those involved. PTAC acts as a matchmaker between those that have problems or opportunities and those that have potential R&D solutions. PTAC brings stakeholders together to identify areas where R&D will make a difference, and to launch specific projects to address these problems or opportunities. PTAC promotes industry participation in the resulting R&D and assists with securing funding from a variety of sources.

PTAC also facilitates the transfer of commercial technologies from other industrial sectors for application in the hydrocarbon energy industry.

How did PTAC get started?

The initiative for PTAC started with the Vice Presidents Breakfast Club, an informal group of executives responsible for conventional oil and gas production operations in 25 Canadian oil companies. Concerned about the decrease in industry R&D, it commissioned a study to ascertain interest in a new approach – one based on collaboration. This led to a multi-stakeholder workshop and steering committee that designed the PTAC organization.

 

   

Without technology advancement, conventional oil and gas production will decrease by 2010.

The United States Petroleum Council forecasts significantly more gas production in the future as a result of improved technology.

Technical Advancement





    Impact

Research plots established in the Turner Valley Area. This PTAC project is investigating ecological aspects of residual hydrocarbons in soil.

Photo credit: Matrix Solutions Inc.

 

Isn’t collaboration already occurring?

Yes it is. In fact the Canadian oil industry has been involved with collaborative models for years, notably in the Arctic and in a number of industry-driven institutions. CONRAD is a recent example of stakeholders getting together to collaborate in the oilsands side of the business. Many companies are also collaborating in specific research projects on an individual basis. What is needed is more collaboration. While many companies are involved in various collaborative activities, hundreds are not involved at all. PTAC brings many more prospective participants to the table and brings a structured approach to collaboration. It establishes a model that can be used over and over again as new projects are identified.

R&D is funded on a project-by-project basis by the organizations that elect to participate in specific projects.

What happened to the old model for delivering research?

For decades, most industry research was done by large multinational companies, universities, and government. Belt tightening and a realignment of priorities by everyone has decreased research resources. Furthermore, the demographics of the industry are much different. The big companies are getting smaller and more focused. The smaller and intermediate companies are becoming significant drivers in the business. They are good at applying technology – they also need to get involved in developing new technology. There won’t be enough resources to develop the necessary technology unless everyone works together.

Also, the culture in the industry has changed. People now believe that the benefit of technology lies in how one applies it, not in its ownership. Rapid communication, highly efficient computers, a mobile work force, and a highly technical service and supply sector make the most sophisticated technologies available to the smallest of players.

Does PTAC conduct research?

No, PTAC does not do research. Its role is to ensure that research resources are focused on industry problems and to help leverage resources within the industry. The existing providers of research and technology development have adequate facilities and staff to meet most industry needs.

   
Parallon Turbo





    Generator

 

75 kW Parallon Turbo Generator operating on flare gas at Anderson Exploration Gainsborough battery.

Photo credit: Mercury Electric Corporation

How does PTAC handle the ownership of intellectual property and new technology?

PTAC does not own intellectual property. Each project stands on its own, managed by those who voluntarily participate. The participants decide how to handle the results of the research.

Who are PTAC’s members?

Members include many stake-holders in the conventional oil and gas business – oil and gas producers, processors and transporters, high technology service and supply companies, research providers, learning institutions, government as both royalty producers and regulators, inventors, consultants including R&D tax and legal experts, and investors in new technology ventures.

   
C-FER Project

 

Monitoring sand removal from lease tanks for C-FER’s project "Tank Cleaning in Heavy Oil Operations" that resulted from a PTAC RFP.

Photo credit: C-FER Technologies Inc.

 

What value is added for stakeholders who participate in PTAC?

All stakeholders benefit from a healthy and competitive industry. New technology improves the recovery from existing reservoirs, helps find new reserves, and reduces costs. The development of horizontal drilling and 3D seismic are examples of new technologies that have had a significant impact on the Canadian industry. With our mature oil and gas fields, and prices determined by world competition, we must continue to improve in order to be successful in business.

Collaborating on research leverages everyone’s contribution – both financial and intellectual. It focuses resources on the right things. The answers to problems are improved and delivered faster. It makes it possible for the smallest of companies to play a role in developing and improving technology.

The service and supply sector benefits because this sector turns technology into marketable services and products. Research providers benefit by working more closely with users. Learning institutions are also able to focus both their research and their teaching, and establish a direction for graduate students. Government has a forum in which to determine how their research dollars should be spent.

How does PTAC work?

PTAC functions as a not-for-profit association with a volunteer board comprised of senior representatives from a broad cross section of members.

PTAC has created a number of technical subcommittees (TS) and maintains an extensive contact database of people and organizations with expertise or an interest in the following areas:

  • Coalbed Methane/Unconventional Gas
  • Drilling / Completion / Abandonment
  • Energy Efficiency / Emissions Reductions and Eco-efficiency
  • Enhanced Recovery / CO2
  • Environmental
  • Heavy Oil / Oil Sands / Viscous Oil
  • Hydrogen / Hydrocarbon Upgrading
  • General
    • Health and Safety
    • Driving Safety
    • Instrumentation/Measurement
  • Innovation
  • Natural Gas Production, Processing and Transportation
  • Oil Production and Transportation
  • Pipelines
  • Reservoir Recovery / Geoscience
  • Resource Access
  • R&D Funding
  • R&D Legal
  • R&D Tax and Incentives
  • Telecommunications / Wireless
  • Security

A volunteer TS chair and executive help identify problems or opportunities facing the industry, develop R&D strategies in their TS area and plan events to address these issues. At these events, industry problems and opportunities are clearly defined and discussed, not only among the end-users but with the research providers, service and supply companies, learning institutions, and government agencies. Request for Proposals (RFPs) are developed and issued with an Expression of Interest form to:

  • determine who is willing to support new projects
  • determine who wishes to propose R&D solutions
  • solicit R&D project proposals for presentation to potential supporters
  • select, launch and fully fund projects

PTAC hosts three types of events for members and the industry to address R&D issues including:

  1. Workshops
  2. Technology Information Sessions (TIS)
  3. Forums/Conferences

Workshops, which can be co-sponsored by other associations and government regulators, are utilized to clearly define industry challenges and opportunities.

Technology Information Sessions are typically conducted by PTAC R&D supplier members with an industry or government regulator co-sponsor indicating the proposal or technology is "worthy of consideration" by the industry.

Forums/Conferences are conducted to communicate ongoing or completed research project objectives or results to funding participants, or in the case of government or broadly funded R&D, all those who are interested.

PTAC provides the necessary venues, coordination, administration, and distribution of invitations for all three types of events. Frameworks or guides are also provided to members for invitations, TIS presentations and workshop structure.

What are PTAC’s other roles?

PTAC plays an important role in the larger research picture. In order for the hydrocarbon energy industry to continually make improvements, the development of technology must be a continuous process. Problem-solving research, by itself, may not allow this to occur. It is necessary to identify entire bodies of knowledge, which must be advanced. PTAC is able to identify these bodies of knowledge, and also identify the gaps that problem-solving research is not addressing. All stakeholders can work towards filling in these gaps.

What does it cost to be a member of PTAC?

The cost to be a member in PTAC varies with the size and type of company or institution. Annual fees vary from $363 to $26,620 depending on the membership category and financial strength of the member organization. Membership fees fund the administrative costs of PTAC. They do not fund any research. These fees may be adjusted downward as PTAC’s membership base grows. The funding schedule is similar to that used by other industry associations and is considered reasonable for the value produced.

How does PTAC maintain ongoing communication with industry stakeholders?

In addition to hosting Technology Information Sessions, Workshops and Forums, PTAC publishes an electronic newsletter, e-talk, and maintains a comprehensive web site which is accessible to anyone on the internet. Visit our website at www.ptac.org to access information on the following:

  • Index on ongoing R&D Projects
  • Requests for Proposals (RFPs)
  • PTAC Newsletters and Annual Reports
  • Technology Information Sessions
  • Workshops and Forums
  • Links to our Members
  • On-line Membership Application
  • Funding sources for R&D
  • PTAC Events Calendar

Corporations

  • ARC Resources Ltd.
  • BP Canada Energy Company
  • ChevronTexaco
  • ConocoPhillips Canada
  • Devon Energy Corporation
  • EnCana
  • EnerMark Inc.
  • Enhance Energy Inc.
  • Husky Energy Inc.
  • IFP Technologies (Canada) Inc.
  • Imperial Oil Limited
  • Kereco Energy Ltd.
  • Laricina Energy Ltd.
  • Nexen Inc.
  • Norsk Hydro Canada Oil & Gas Ltd.
  • Paramount Resources Ltd.
  • Pengrowth Management Limited
  • Penn West Petroleum Ltd.
  • Petro-Canada Resources
  • Pioneer Natural Resources Canada Inc.
  • PrimeWest Energy Inc.
  • Quicksilver Resources Canada Inc.
  • Shell Canada Resources Ltd.
  • Suncor Inc. - Resources Group
  • Talisman Energy Inc.
  • Total Exploration & Production Ltd.
  • Trident Exploration Corporation
  • Unconventional Gas Resources Canada
   

 

For further information please contact:

PTAC
Petroleum Technology Alliance Canada

Suite 400, Chevron Plaza
500 Fifth Avenue SW
Calgary AB  T2P 3L5

phone: (403) 218-7702
fax (403) 920-0054

website: http://www.ptac.org
email:

   
 

Two founding studies are available from PTAC –

"Collaborative Technology Development
Pooling Resources in the Conventional Oil and Gas Industry"
;
published by Todd Resources. March 1995.

"Petroleum Technology Alliance Canada
The Road to Collaborative Research and Technology Development"
;
published by Todd Resources and Pallister Management. April 1996.

   
 

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For further information,
please contact:

Arlene Merling, PTAC
Director, Operations
phone 403.218.7702
fax 403.920.0054
amerling@ptac.org

     

© PTAC 2007

2007 10 30 LF